Question

For buying a house, Kishorbhai borrowed ₹ 29,200 from the bank for 227 days at the rate of 12.5%. How much amount would he pay back at the end of the term?

Answer 1

We know,

borrowed money = Rs.29,200

reurning period = (227/365) years

rate of interest =12.5 per annul.

Now,see the attached document for formula application

Answer 2

Acc to the ques, Kishorbhai borrowed ₹ 29,200 from the bank for 227 days at the rate of 12.5%.

Principal = ₹ 29,200

Time = 227 days = 227/365 yrs.

Rate = 12.5%.

Amount = Principal + Interest.

Interest = (29,200 x 12.5 x (227/365))/100 = Rs 2270.

Thus, Amount = Rs (29200 + 2270) = Rs 31470.

Rs 31470 would he pay back at the end of the term.